Reference no: EM131151996
Juan Estefan formed Beta Corporation on January 4th of Year 1, and the corporation immediately made an S election effective for that year. Beta Corporation is involved in the Beta testing of software and games for other software companies. In forming the corporation, Juan contributed $50,000 cash in exchange for 100% of the Beta Stock. Shortly thereafter, the corporation obtained a $25,000 bank loan to assist with operations. Beta's first two years did not go as well as expected, Beta incurred ordinary losses of $60,000 and $20,000, in years 1 and 2 respectively. In addition in Year 2 Juan and his wife Marta divorced. As part of the divorce settlement, on June 30th of Year 2, Juan gave Marta 50% of the Beta Stock. It is now the beginning of year 3, Beta's performance finally improved, with the corporation estimated to earn $40,000 of ordinary income. Juan asks your firm to help in determining the tax consequences of these events, particularly the usage of the S corporation losses, you will be meeting with him to discuss his options in a few weeks along with your manager.
Required: Write a tax research memo to the file that your manager will review in order to help determine how the firm should advise Juan. At a minimum you should consider IRC §1366. The research memo should be 4--7 pages long. Follow the format outlined in the M. Tx. Writing Website as indicated in the syllabus. Thus, the memo should include a restatement of the facts, at least three key tax issues, conclusions and analysis for each issue.
|
Discuss the intrinsic and extrinsic motivating factors
: Discuss the intrinsic and extrinsic motivating factors to salespeople, the financial and non-financial rewards, the do’s and the don’ts in motivating sales reps. In your discussion, please look at different cultures and provide real life examples on ..
|
|
Identify and discuss three different groups of people
: Review several of your classmates' posts, and then, provide a substantive response to at least two of your classmates. What, if any, additional insights would you share with your classmates regarding the new health care policy?
|
|
Different behavioral styles
: How can a leader identify different behavioral styles so they can communicate with their people better?
|
|
Describe a conflict within an organization or team
: Write a four- to five-page paper (excluding title and reference pages) assessing the components of conflict. The following need to be addressed within your paper: Describe a conflict within an organization or team with which you are familiar
|
|
Determining the tax consequences of events
: Juan asks your firm to help in determining the tax consequences of these events, particularly the usage of the S corporation losses, you will be meeting with him to discuss his options in a few weeks along with your manager.
|
|
How do you feel your writing has developed
: Discuss how your view of the workshop process changed over the a course of the term.- How do you feel your writing has developed, as illustrated by your final submission?
|
|
What kinds of strategies will implement in order to achieve
: It is often said that lobbying is both an art and science. Imagine that because of your knowledge of the legislative process, you have decided to become more active in attempting to influence the legislative process. First, identify a current legi..
|
|
What are the implications of peoples resistance
: What are the implications of peoples' resistance to change on an organizational enterprise? Describe examples of successful and unsuccessful change agents and efforts you have witnessed
|
|
Write a research essay on given topic
: Write a Research Essay on topic- the topic be about How changes to marriage and family will change American society.
|